As an Amazon Associate I earn from qualifying purchases.

What is Straight Piece Rate System in HRM? PDF Download

Learn Straight Piece Rate System definition in hrm with explanation to study “What is Straight Piece Rate System”. Study straight piece rate system explanation with HRM terms to review HRM course for online MBA programs.

Straight Piece Rate System Definition

  • Pay system in which wages are determined by multiplying the number of units produced by the piece rate for one unit.

    Human Resource Management by Robert L. Mathis, John H. Jackson



Straight Piece Rate System Explanation

Straight piece rate framework is the most straightforward strategy for installment by result wherein installment is made by the quantity of units delivered at a fixed rate for every unit. Another sort of the straight piece rate technique is piece rate with ensured time rate in which the specialist is ensured the time rate with a chance of getting piece compensation if his profit as per piece rate framework are more than his time wage income. Laborers are paid by their benefits since differentiation is made among proficient and wasteful specialists. A productive laborer can procure more wages since wages are connected to yield. Along these lines, this technique is an enhancement for the time wage framework. Expanded generation will lessen fixed costs per unit and cost of creation will diminish, enabling a more prominent edge of benefit to the business.

Keep Learning HRM Explanations

What is Discipline?

Discipline is activity or inaction that is directed to be in understanding (or to accomplish accord) with a specific arrangement ...

What are Blind to Differences?

Blind to difference or qualities of a forthcoming or current representative that a business is permitted to consider under law ...

What is Leniency Error?

Leniency error is a rater's predisposition that happens in view of the rater rating an individual too emphatically. This kind ...

What is Craftunion?

Craft union, worker's organization consolidating laborers who are occupied with a specific specialty or expertise however who may work for ...

What is Portability?

Portability is a trademark credited to a PC program on the off chance that it tends to be utilized in ...

What is Safety?

A saftey management framework is a persistent improvement process that diminishes perils and averts episodes. It secures the wellbeing and ...